Method and system for facilitating shipping via third-party payment service

ABSTRACT

An integrated shipping scheme enables seller users of a third-party payment service to facilitate shipping transactions in connection with payment transactions for items sold by the sellers. Shipping information is automatically gathered and/or entered by the seller via a computer interface hosted by the third-party payment service and sent “behind the scenes” to a selected shipping vendor. The shipping vendor processes the shipping information, and returns shipment data, including data to generate a shipping label. A web page containing the shipping label is then generated and served to a client operated by the seller and displayed on a browser screen, enabling the shipping label to be printed out by the seller. At the same time, electronic payment transfer operations are performed to effectively transfer payment from the seller directly to the shipping vendor via the third-party payment service in a manner that is transparent to both the seller and the shipping vendor.

FIELD OF THE INVENTION

[0001] The field of invention relates generally to electronic commerceand, more specifically but not exclusively relates to a method andarchitecture that provides a mechanism for enabling users of athird-party (electronic) payment service to arrange and pay for shipmentof goods via a shipping vender using facilities hosted by thethird-party payment service.

BACKGROUND INFORMATION

[0002] The past decade has seen a tremendous growth in the use of theworld- wide-web (WWW) for online purchases of products and services. Inone respect, such products are available via web sites provided bye-commerce merchants, such as electronic retailers. Typically, paymentof products purchased from e-commerce merchants are made by means ofelectronic credit-card transfers. In most instances, the finaltransaction price reflects a total price for the purchased goods,applicable taxes, and shipping costs to pay for delivery of goods to thebuyer. Generally, e-commerce merchants will employ business accounts orthe like with one or more shipping companies that facilitate delivery ofthe goods sold by that merchant. Some smaller merchants may employshippers on an as-needed basis, paying cash at the point of service.

[0003] Another type of electronic purchase that has seen exponentialgrowth is individual seller-to-buyer transactions (a.k.a.person-to-person transactions), wherein neither the seller nor the buyeris a merchant. A common form of this type of transaction is the onlineauction, such as auctions facilitated by eBay® Corporation, San Jose,Calif. Third-party online auction hosts, such as eBay®, provide aweb-based platform that enables sellers to list and display items forsale, and buyers to bid on the items that are offered. Typically, uponexpiration of the auction period or other auction-ending event, the userthat has submitted the highest bid “wins” the auction, and thus becomesthe buyer. Optionally, the auction can be terminated when apredetermined bid amount has been received by a user. At this point,both the seller and buyer are apprised of the result of the auction(typically via e-mail), which initiates the physical transfer of thegoods to the buyer and payment from the buyer to the seller.

[0004] A typical transfer cycle proceeds as follows. First, a finalprice is determined that includes the shipping cost. This cost may beset in advance of the auction (i.e., one or more fixed prices listed inthe auction for various shipping options), or may be determined on anactual shipping cost basis. In the latter instance, the seller mustfirst determine the shipping costs prior to determining the final price.Depending on the shipping method, shipping price information cangenerally be obtained from shipping cost tables and the like. Several ofthe large shipping vendors (e.g., United Parcel Service (UPS), FederalExpress, etc.) provide online estimators to assist with this process.After the final price is determined, the seller typically sends ine-mail to the buyer, identifying payment options (these may also beidentified via the auction listing). In response, the buyer employs oneof the payment options to pay for the item plus the shipping cost.

[0005] Oftentimes, the seller of the auctioned item is an individual,although online auctions are very popular for merchants as well. Mostindividuals do not have credit-card merchant accounts, so they cannotaccept this form a payment. As such, the selected form a payment willgenerally be limited to a money order, cashier's check, or personalcheck. Another popular option in this case is to use a third-partypayment service, such as PayPal®, Mountain View, Calif. In thisinstance, payment may be made electronically directly to the recipient's(seller's) payment service account (and hence to the seller's personalbank account listed with the payment service or to the seller via otherforms of payment), either through use of a similar payment serviceaccount for the buyer, or via a credit card payment to the paymentservice.

[0006] Upon receipt and clearance of the payment, the seller willgenerally go to the selected shipping vendor and pay for the shipmentvia a cash transaction, since most individual on-line sellers do nothave business accounts with shipping companies. This is verytime-consuming, often resulting in a delay in the overall transactionprocess. For example, it may be inconvenient for the seller to go to aselected shipping vendor shortly after being notified that payment hasbeen received for a given sales transaction. Furthermore, this places anextra burden on the seller. In fact, this can be such a burden that manypotential auctions are never initiated, since the owners of lower-pricedauctionable items consider the “personal” (i.e., non-monetary) cost offacilitating shipment of the items to be too great relative to theauction value of the items. For example, while a $10.00 item may onlycost $3.00 to ship, it may not be worth it for a potential seller tospend 30 minutes or more in connection with shipping the item.

SUMMARY OF THE INVENTION

[0007] In accordance with aspects of the present invention, anintegrated shipping scheme is disclosed that enables seller users of athird-party payment service to facilitate shipping transactions inconnection with payment transactions for items sold by the sellers. Inresponse to a received payment, a seller is presented with the option ofemploying integrated shipping. Appropriate shipping information is thenautomatically gathered and/or entered by the seller and sent “behind thescenes” to a selected shipping vendor. The shipping vendor processes theshipping information, and returns shipment data, including data togenerate a shipping label to the third-party payment service. A web pagecontaining the shipping label is then generated and served to a clientoperated by the seller and displayed on a browser screen, enabling theshipping label to be printed out by the seller. To ship an item, theseller merely has to affix the shipping label to an appropriate shippingpackage (e.g., box) and either drop the package off at one of theshipper's drop-off sites, or have the shipper come to the seller'slocation to pick up the package. At the same time, electronic paymenttransfer operations are performed to effectively transfer payment fromthe seller directly to the shipping vendor via the third-party paymentservice in a manner that is transparent to both seller and the shippingvendor.

BRIEF DESCRIPTION OF THE DRAWINGS

[0008] The foregoing aspects and many of the attendant advantages ofthis invention will become more readily appreciated as the same becomesbetter understood by reference to the following detailed description,when taken in conjunction with the accompanying drawings, wherein likereference numerals refer to like parts throughout the various viewsunless otherwise specified:

[0009]FIG. 1a is a schematic diagram illustrating an exemplaryinfrastructure for supporting third-party payment services withintegrated shipping in accordance with one embodiment of the invention;

[0010]FIG. 1b is a schematic diagram illustrating generation andtransfer of an XML document containing shipping information from athird-party payment service to a shipping vendor in accordance with theinfrastructure of FIG. 1a;

[0011]FIG. 1c is a schematic diagram illustrating receipt of an XMLdocument containing shipment data from the shipping vendor andprocessing of the shipment data to generate a confirmation web pagehosted by the third-party payment service in accordance with theinfrastructure of FIG. 1a;

[0012]FIG. 1d is a schematic diagram illustrating generation andtransfer of an XML document containing shipping confirmation and paymentdata from the third-party payment service to the shipping vendor inaccordance with the infrastructure of FIG. 1a;

[0013]FIG. 1e is a schematic diagram illustrating receipt of an XMLdocument containing shipment transaction data and an embedded shippinglabel from the shipping vendor and processing of the XML document togenerate a web page hosted by the third-party payment service via whicha seller may print out the shipping label in accordance with theinfrastructure of FIG. 1a;

[0014]FIG. 2 is a flowchart illustrating operations and logic performedby software components operated by the third-party payment service tofacilitate arrangement and payment of shipment services provided by theshipping vendor in accordance with one embodiment of the invention;

[0015]FIG. 3 is a representation of a personal account web page hostedby the third-party payment service that contains a button for launchingan integrated shipping process;

[0016]FIG. 4a is a representation of a welcome web page containinginformation for using integrated shipping via an exemplary shippingvendor;

[0017]FIG. 4b is a representation of a shipping vendor registration pagethat contains input fields and controls for entering registrationinformation that is proxied to a corresponding web registrationfacilities provided by the shipping vendor;

[0018]FIG. 5 is a representation of a shipping options web page viawhich a user may enter shipping information and options pertaining to ashipment;

[0019]FIG. 6 is a representation of a shipping confirmation web page viawhich shipment data are confirmed by the user;

[0020]FIG. 7 is a representation of a web page containing a shippinglabel that may be printed out and attached to a package to be sent viathe shipping vendor;

[0021]FIG. 8 is a schematic diagram illustrating entities andinteractions involved in transferring payments via a credit cardnetwork;

[0022]FIG. 9 is a flowchart illustrating operations performed during apayment transfer via the credit card network of FIG. 8;

[0023]FIG. 10a is a representation of the personal account web page ofFIG. 3, now containing a package tracking option;

[0024]FIG. 10b is a representation of a browser display including theweb page of FIG. 10a and an overlapping tracking summary web page hostedby the shipping vendor;

[0025]FIG. 11 is a schematic diagram illustrating a portion of adatabase schema in accordance with one embodiment of the invention; and

[0026]FIG. 11 is a schematic diagram of a computer server that may beemployed for various computer servers illustrated in the drawingscontained herein.

DETAILED DESCRIPTION OF PREFERRED EMBODIMENTS

[0027] Embodiments of method and schemes for facilitating integratedshipping via a third party payment service are described herein. In thefollowing description, numerous specific details are set forth, such astransactions performed in the context of an online auction andsubsequent payment activities, to provide a thorough understanding ofembodiments of the invention. One skilled in the relevant art willrecognize, however, that the invention can be practiced without one ormore of the specific details, or with other methods, components,materials, etc. In other instances, well-known structures, materials, oroperations are not shown or described in detail to avoid obscuringaspects of the invention.

[0028] Reference throughout this specification to “one embodiment” or“an embodiment” means that a particular feature, structure, orcharacteristic described in connection with the embodiment is includedin at least one embodiment of the present invention. Thus, theappearances of the phrases “in one embodiment” or “in an embodiment” invarious places throughout this specification are not necessarily allreferring to the same embodiment. Furthermore, the particular features,structures, or characteristics may be combined in any suitable manner inone or more embodiments.

[0029] An overview of a network infrastructure 100 for supportingthird-party payment services with integrated shipping in accordance withone embodiment of the invention is shown in FIG. 1a. The primaryentities include a third party payment service 102, a shipping vendor104, and respective seller and buyer user clients 106 and 108, each ofwhich is linked in communication with other entities via the Internet110.

[0030] The third-party payment service 102 employs a plurality ofsoftware components embodied as software servers that operate incombination to perform various operations, including a web server 112,database server 114, an integrated shipping server 115 and a paymentserver 116. Database server 114 is used to access data stored in adatabase (DB) 117. As is well-known in the distributed software arts,servers 112, 114, 115, and 116 represent software components thatperform web server, database server, integrated shipping server, andpayment transaction operations, respectively. As such, the servers mayby deployed in an n-tier environment, wherein one or more computerservers are used to host server software running in each tier. Forexample, in FIG. 1a, web server 112, database server 114, integratedshipping server 115, and payment server 116 are deployed on respectivecomputer servers tiers 112A, 114A, 115A, and 116A comprising computerservers coupled in communication via a local area network (LAN) 118.Optionally, the software server components may be deployed across three,two, or even a single computer server. Under a typical 3-tierarchitecture, integrated shipping server tier 115A and payment servertier 116A occupy an application server tier (or middle tier), while webserver tier 112A (a.k.a., the frontend) corresponds to a first tier anddatabase server tier (a.k.a., the backend) occupies a third tier.Accordingly, integrated shipping server and payment server softwarecomponents are known as “middleware.”

[0031] Web server 112 is used to host a plurality of web pages 120, suchas HTML pages. Web server 112 also includes appropriate networkinterfaces for enabling data to be passed to and received from otherentities via Internet 110. For example, data passed between web server112 and clients 106 and 108 will typically employ the HTTP (hyper-texttransport protocol) transport mechanism, wherein respective HTTPinterfaces are provided at each of the web server 112 and the clients.Generally, the HTTP interface at each of clients 106 and 108 will beprovided by a web browser running on the clients, such as but notlimited to Microsoft Internet Explorer and Netscape Navigator. Thebrowsers are used to render web pages 120A and 120B in response tocorresponding web page data (e.g., HTML content) received from webserver 112. A similar network interface is likewise provided by anon-line shipment server 126 hosted by shipping vendor 104.

[0032] During typical operations, third-party payment service 102enables payments to be transferred between buyers and sellers such thatthe seller ends up with some form a payment reflective of the agreed-tosales price. Generally, payment transfer transactions are facilitatedvia web pages hosted by web server 114, (e.g., web pages 120). In orderto receive funds via use of third-party payment service 102, a sellermust first establish a user account. To open an account, a user willenter registration and authentication information, including a uniqueuser identifier and password, as well as contact information. In mostinstances, the user will also enter banking information and authorizethe third-party payment service to act as an agent for the user withrespect to a particular bank account, thereby enabling monetary funds tobe received by and transferred from the user's bank account via requestsmade by the third-party payment service.

[0033] In accordance with aspects of the invention, the foregoing“normal” services provided by the third-party payment service areaugmented to include integrated shipping, wherein the payment service102 operates as a proxy to enable shipping services offered by aselected shipping vendor to be accessed in a manner that does notrequire the user to directly interface with the shipping vendor.Furthermore, in one embodiment the shipping integration process isperformed in a manner that is completely transparent to the shippingvendor as well—that is, from the shipping vendor's perspective, the useof the shipping vendor's on-line access facilities appears that same asif an individual user was accessing those facilities, rather than thethird-party payment service. As a result, there are no changes that needto be made to the shipping vendor's on-line infrastructure.

[0034] With reference to FIG. 2, a third-party-facilitated buyer-sellertransaction process including integrated shipping in accordance with oneembodiment proceeds as follows. The process begins in a block 200,wherein a seller receives notification of payment received from thebuyer via third-party payment service 102. In one embodiment, thenotification is sent via an e-mail message to the seller's registerede-mail address. Upon receipt of the notification, the seller navigatesto the third-party service's web site, enters authentication informationto log into the site, and opens a personal account page 300 in a block202, as shown in FIG. 3. As an option, the e-mail may include a linkthat automatically sends the seller to the web-site or personal accountpage.

[0035] Personal account page 300 includes a recent activity panel 302that shows recent account activity for the user. For example, recentactivity panel 302 lists three recent payments of $30.00, $20.00, and$25.00 displayed in an “Amount” column 304. Recent activity panel 302also contains an “Action” column 306, which includes “Ship” buttons 308in the first two rows. Typically, a “Ship” button 308 will appear in arow corresponding to a completed payment transfer related to a sellingtransaction in which goods are identified as needing to be shipped to abuyer. For example, in one common use of third-party payment service102, various web pages are automatically generated to enable paymentscorresponding to completed auctions to be made via the payment service102. The seller may employ integrated shipping by selecting a “Ship”button 308 corresponding to a particular payment.

[0036] In response to activation of a “Ship” button 308 in block 202, adetermination is made in a decision block 204 whether the user has anexisting shipping account. In one embodiment, a separate shippingaccount is set up for each user to enable the user to access shippingservices provided by a corresponding shipping vendor. When multipleshipping vendors are available, a shipping account with separateshipping vendor-specific information (e.g., via vendor-specific tables)is set up. As discussed above, in one embodiment shipping integration isperformed in a manner that is transparent to the shipping vendor, suchthat the shipping vendor believes it is providing services directly toan individual customer. Accordingly, in order to “trick” the shippingvendor into believing it is interacting with an individual user, acorresponding user account must first be set up with the shippingvendor.

[0037] In one embodiment, user registration with the shipping vendor isprovided in a block 206 by employing the third-party payment service asa proxy. Details of how the proxy works are discussed below withreference to the transfer of shipping data and the like. In short, theproxy function works by providing a “front-end” (e.g., web pages) to auser to enable the user to interact with the payment service. At thesame time, data entered by the user (e.g., sign-up information) isconverted into a predefined format and passed to the shipping vendor viaone or more XML (extended markup language) documents. The XML documentsare configured to comply with an XML API (application program interface)128 provided by on-line shipment server 126 to enable interactionbetween applications 130 running on the on-line shipment server andapplications running external to the on-line shipment server (such asapplications hosted by third-party payment service 102). Likewise, datais passed back to the third-party payment service from the shippingvendor via XML documents that comply with the XML API.

[0038] A welcome page 400 and exemplary shipping registration page 402are respectively shown in FIGS. 4a and 4 b. In the illustratedembodiment and the example described below, the shipping vendor is UPS.It is noted that this is not limiting, as the general principles of theinvention may be implemented to employ various other shipping vendors aswell. Welcome page 400 contains an overview of how integrated shippingis employed from a user perspective. Activation of a “Continue” button404 advances the user to shipping registration page 402.

[0039] A pair of radio buttons 406 and 408 are displayed in the upperportion of the shipping registration page. If the user does not have anexisting vendor shipping account, the user will activate radio button406. If the user has an existing vendor shipping account, the user willactivate radio button 408 and enter the account number in an edit box410. Optionally, the account number, which has been previously obtainedvia the process described below, is retrieved from database 117 and isautomatically filled in.

[0040] In a middle portion 412 of the page, the user is asked to enterinformation relating to shipping frequency and requests for less commonshipping services, such as whether the user ships hazardous materials,high value good, breakable goods, etc. User-specific information isentered on the lower portion 414 of the page, including contact name,optional contact title, address information, city, state, zip code, andphone number data. In response to activation of a “Continue” button 416the user is presented with a confirmation screen (not shown) via whichthe user confirms the user-entered data. A shipping agreement form (alsonot shown) is then presented to the user to enable the user to reviewthe shipping agreement offered by the shipping vendor. In response toactivation of an “I Agree” button, a request for a new account issubmitted behind the scenes to the shipping vendor.

[0041] If the entered data are found to be acceptable, the shippingvendor will issue a new account number. The account number is presentedto the user via a registration completion notification page (not shown),while also being stored in database 117 with a link to the user'suserID. In one embodiment, a second account number is also issued toenable the user to access UPS' “myUPS.com” services for purposes such aspackage tracking.

[0042] After registration is complete (or if the user already had anactive account), the user is presented with a shipping options page 500shown in FIG. 5 via which shipping information and options are enteredin accordance with a block 208. Since the shipping transaction isrelated to a previously performed payment transaction, the “Ship To:”address 502 of the recipient (i.e., the buyer) in the “AddressInformation” section will be automatically pre-filled. Generally, the“Ship From:” address 504 will correspond to either the home or businessaddress listed with the shipping vendor or the primary address listedwith the third-party payment service. In cases in which multipleaddresses are registered, a list of those addresses displayed oppositerespective radio buttons will be displayed to the user to enable theuser to select a ship from address via selection of its correspondingradio button.

[0043] Shipping parameters and shipping option data are entered orselected via various edit boxes and pull-down controls in the “ShipmentOptions” section. The parameters and options include a shipping servicetype via a pull-down control 506, a packaging type via a pull-downcontrol 508, a package weight via an edit box 510, and packagedimensions via edit boxes 512, 514, and 516. In optional insured valuemay be entered in an edit box 518, while an optional e-mail message tothe buyer may be entered in an edit box 520.

[0044] After the shipping information has been entered via shippingoptions page 500, the user will activate a continue button 522. Inresponse, web server 112 will pass the underlying data 132 to integratedshipping server 115 to begin performing the operations of block 210.During these operations, integrated shipping server 115 generates an XMLdocument 134 containing the shipping information, options, and theuser's vender account information (e.g., SVuserID 136 retrieved fromdatabase 117), as shown in FIG. 1b. The XML document is structured tocomply with XML API 128, which in this exemplary embodiment comprises anAPI that enables companies to interact with UPS' on-line services in atransparent fashion. In other words, from the perspective of on-linesoftware applications 130, data received by the applications have beeninput via UPS' normal on-line data input facility (i.e., web pageshosted by the UPS web site). This scheme enables external applicationseffectively to function as proxies for UPS' own web pages. The netresult is that no changes need to be made to on-line softwareapplications 130 to enable external application to access the shippingvendor's on-line shipment services.

[0045] Once XML document 134 is generated, it sent from integratedshipping server 115 (via a server computer in integrated shipping servertier 115A) to shipping vendor 104 via on-line shipment server 126. Inone embodiment, the HTTPS (Hyper-Text Transport Protocol Secure)protocol is employed for the transport. Generally, communicationsbetween shipping server tier 115A and on-line shipment server 126 may beover a public (e.g., Internet) or private (e.g., VPN (virtual privatenetwork) or dedicated link) network. Upon receipt of XML document 134,XML API 128 is employed to (effectively) automatically fill inappropriate data fields corresponding to virtual web pages hosted viaon-line applications 130. One of the applications then calculates ashipping costs based on the input data (generally based on size andweight of the package in combination with the number of zones spanned bythe Ship From: and Ship To: addresses, plus any miscellaneous chargessuch as optional insurance) in a block 210A. Additionally, an XMLdocument 138 containing shipment data including the shipping cost isgenerated and passed back to third-party payment service 102 viaintegrated shipping server 115, as shown in FIG. 1c.

[0046] Upon receiving XML document 138, shipment data 140 is extractedand provided to web server 112 in a block 212. The web server thengenerates a confirmation page 600 shown in FIG. 6 and serves the page toseller client 106 in a block 214. Confirmation page 600 includes averification of the Ship To: and Ship From: addresses in an AddressInformation section 602, and various details relating to the shipment ina Shipment Details section 604. These details include a payment method,selected service, package type, package weight and dimensions, andshipping cost. To confirm the order, the seller activates a “CompleteShipping Order” button 606.

[0047] In response to the confirmation, web server 112 passescorresponding data to integrated shipping server 115, which generates anXML document 142 containing confirmation and payment information andsends the XML document to shipping vendor 104 in accordance with a block216, as shown in FIG. 1d. In keeping with the idea of shipping vendortransparency, the payment information may conform to a payment typeaccepted by the shipping vendor. In one embodiment, a credit account ismaintained by the third-party payment service with the shipping vendor,and thus the payment information comprises a credit account identifier(e.g., an account number). Under another embodiment, each shipmentpayment transaction is handled as an individual account, wherein paymentis made using a normal payment facility accepted by the shipping vendor.

[0048] In accordance with this latter scheme, each integrated shippinguser is assigned a unique “hidden virtual debit card” (HVDC). From theshipping vendor's perspective, the HVDC operates like an ordinary debitor credit card, enabling the vendor to settle the transaction in themanner normally handled for settlement for debit and credit cardtransactions, as described below in further detail with reference toFIGS. 8 and 9. The HVDC is termed “hidden” because the integratedshipping user is unaware of its use or existence. The HVDC is termed“virtual” because it does not correspond to a physical debit card (nosuch card may ever be produced), but rather corresponds to a virtualcard that only exists in the computer systems of the debit card issuer,payment service, and shipping vendor. As depicted in FIG. 1d, the user'sHVDC 143 is retrieved from database 117 to be included in XML document142.

[0049] Upon receipt of XML document 142, the document's data areextracted via XML API 128 and the payment is authorized by the shippingvendor via the Debit/Credit card authorization/settlement infrastructuredescribed below. An XML document 144 containing shipment transactiondata including an embedded shipping label 146 is then generated andreturned to third-party payment service 102. In a block 218, XMLdocument 144 is received and the embedded shipping label and transactiondata are extracted and passed to web server 112. A shipping label page700 shown in FIG. 7 is then generated by web server 112 in a block 220and served to seller client 106. Additionally, transaction data,including a shipment tracking number 147 are stored in database 117.

[0050] Shipping label page 700 contains a printable shipping label 146Aderived from shipping label data 146. Typically, the shipping label datawill be in a conventional graphic format that can be rendered by a webbrowser, such as a binary bitmap, TIFF, Adobe PDF, etc. If necessary, anappropriate plug-in for rendering the shipping label will be provided tothe recipient client (e.g., via a download link or the like). Tocomplete the shipment transaction process (from the seller's point ofview), the seller will activate a “Print Label” button 700, causing theweb page to be printed out on a printer 148. A printed label 146B isthen applied to a package 150, and the package is either dropped off orpicked up by personnel working for the shipping vendor.

[0051] Continuing with the flowchart of FIG. 2, the next operation isperformed in a block 222, wherein the shipping cost is settled with theshipping vendor. Further details of settlement and the foregoingauthorization process of block 216A are illustrated in FIGS. 8 and 9.The process begins in a block 900, wherein a cardholder 800 initiatespayment for a purchase (of shipping services) from a merchant 802 (theshipping vendor). This action is performed behind the scenes via paymentserver 116, which presents a hidden virtual debit card comprising a16-digit MasterCard on behalf of the user to the merchant (UPS) via aprivate banking network (not shown). In a block 902, the merchantsubmits an authorization request to the authorization/settlementnetwork. This includes three sub-operations, beginning in a block 902A,wherein a merchant acquiring bank 804 passes an authorization request tothe debit/credit card network 806. In a block 902B, the network(Mastercard in this example) passes the authorization request to thedebit card issuing bank 808, which in this case is third-party paymentservice 102 (e.g., PayPal). The issuing bank then interfaces with anissuer processor 810 to approve or deny the authorization request in ablock 902C. This decision is made, in part by retrieving user accountbalance information and/or other user-related information from database117 to verify whether sufficient funds are available to pay for thepurchase. If the user account is insufficient, a web page is launched toenable the user to adds more funds to his account (not shown).

[0052] In a block 904, the authorization response is return to merchant802. This also involves three sub-operations, beginning with a block904A, wherein issuing bank 808 returns the authorization response tonetwork 806. In a block 904B the network returns the authorizationresponse to merchant acquiring bank 804. Finally, in a block 906C themerchant acquiring bank returns the authorization response to merchant802.

[0053] Next, if the authorization is approved, the merchant notes thetransaction is a “card not present” transaction, meaning no cardholdersignature is available (e.g., an Internet-based transaction) in a block906. The merchant then stores a virtual sales draft in a block 908.Subsequently, the merchant submits a batch of transactions forsettlement in a block 910. Batch settlement is typically performed on aperiodic basis, such as at the end of the business day.

[0054] The following day (typically), in a block 912 merchant acquiringbank 804 sends the transactions to network 806 and obtains payment forits transactions, less interchange fees and processing fees. Later thatday, or the next day, the network sends transactions to issuing bank 808and obtains funding for those transactions in a block 914. Interchangefees are added to the received funds, minus processing fees.Subsequently, the issuing bank funds the purchases less interchangefees, returns, and chargebacks and posts transactions to the cardholder(ie., sellers) account with third-party payment service 102 via paymentserver 116. The process is completed in a block 916, wherein theacquiring bank 804 credits merchant 802 for purchases, minus interchangefees, credit vouchers (representing returns), chargebacks (representingissuer or cardholder disputes), network fees, and its own acquiringfees.

[0055] Returning to FIG. 2, the last operation of the shipmenttransaction process is performed in a block 224, wherein the shippingcost is deducted from the seller's account with the third-party paymentservice. This is accomplished by storing data in database 117 thatreflects the hidden virtual debit cards transactions for each integratedshipping user, and then adjusting each user's account balance based onthe HVDC transactions made by that user. The timing of this operationrelative to settlement is a matter of choice, meaning it may occurbefore or after (illustrated) shipping vendor settlement. In oneembodiment, a user's account available balance is adjusted in responseto an approved authorization. If settlement does not occur within apredetermined timeframe, the authorization is revoked, canceling thetransaction, and the user's available account balance is adjusted to itprior value.

[0056] In addition to facilitating the arrangement of shipping goods, inone embodiment integrated shipping further provides a mechanism for auser to track shipments via the third-party payment service. As before,the third-party payment service functions as a proxy to enable access toshipment tracking data maintained by the shipping vendor using theaforementioned XML data transfer scheme.

[0057] An exemplary use of the shipment-tracking feature is shown inFIGS. 10a and 10 b. This time, when the user navigates to a review hisor her personal account information, a personal accounts page 300A isrendered. “Action” column 306 now contains a “Track Package” button 300.In response to activation of this button, the tracking number for thecorresponding transaction is retrieved from database 117, and web server112 navigates to the shipment tracking page on UPS' web site and entersthe retrieved tracking number. The web server 112 then directs the UPSweb server to serve a resulting tracking summary page 312 to client 106,as shown in FIG. 10b. At this point, the user may access furtherfeatures provided by the UPS site.

[0058] In general, data related to vendor shipping accounts, shipments,payment transactions, and users will be stored in database 117.Typically, database 117 may comprise a relational database managementsystem (RDBMS) database, such as SQL (structured query language)database. Accordingly, database server 114 may comprise a SQL RDBMSdatabase server, such as database server products provided by Oracle(e.g., 8 i or 9 i), IBM (DB2), Sybase, Informix, and Microsoft (e.g.,SQL Server 7 or 2000).

[0059] An portion of an exemplary database schema 1100 for implementingdata storage aspects of the invention is shown in FIG. 11. Central todatabase schema 1100 is an ACCOUNT table 1102. Each of USER table 1104,SHIPPING_USER table 1106, TRANSACTION table 1108, and SHIPMENT table1110 is linked to ACCOUNT table 1102 via respective relationships 1112,1114, 1116, and 1118. A SHIPPING_USER_UPS table 1120 is linked toSHIPPING_USER table 1106 via a relationship 1122. A SHIPMENT_UPS table1124 is linked to SHIPMENT table 1110 via a relationship 1126, while anADDRESS table 1128 is linked to USER table 1104 via a relationship 1130.In addition, SHIPMENT table 1110 is linked to TRANSACTION table 1108 viaa relationship 1132, to SHIPPING_USER table 1106 via a relationship1134, and to ADDRESS table 1128 via a relationship 1136.

[0060] Basic user account information, including a primary key useraccount number is stored in ACCOUNT table 1102. Detailed userinformation is stored in USER table 1104, while user address informationis stored in ADDRESS table 1128. Payment transaction data are stored inTRANSACTION table 1108.

[0061] Integrated shipping user information is stored in SHIPPING_USERtable 1106, including information identifying the user's account number(the foreign key link to ACCOUNT table 1102, and shipping vendors forwhich the user has an account. A daily tabulation (daily_tab) ismaintained for each user to limit the amount of shipment purchases usersmay have during a single day to a predetermined limit. The purpose ofthis purchase limit is to prevent fraudulent use of the account.

[0062] SHIPPING_USERS_UPS table 1120 is exemplary of a shipping vendoruser table in which vendor-relating account data are stored. Forexample, SHIPPING_USER_UPS table 1120 contains an account profilesection 1138 in which shipping vendor account data are stored, includinga user_id, password, along with optional company and contactinformation.

[0063] Data related to shipments are stored in SHIPMENT table 1110.These data include basic shipment information, such as vendor, weight,monetary value, transportation value, etc., and shipper/shippee (i.e.,seller/buyer in the foregoing examples) information, including accountnumbers, transactions id's and address id's. It is noted that if theshipment recipient (the shippee) does not have an account withthird-party payment service 102, no shippee account number and addressid will be stored.

[0064] Shipment data particular to the shipping vendor is stored inSHIPMENT_UPS table 1124. In one embodiment, these data include packagingoptions, package dimensions, tracking number, shipping options, ashipping label (as a BLOB datatype), and a shipper id. Generally, arespective pair of tables similar to SHIPPING_USER_UPS table 1120 andSHIPMENT_UPS table 1124 will exist for each shipping vendor, and willinclude data fields particular to that shipping vendor.

[0065] In the foregoing examples, data was passed between thethird-party payment service and the shipping vendor using an XMLdata-exchange mechanism. This is not meant to be limiting, but merelyillustrative of one means for exchanging data. Other data-exchangetechniques may also be employed, such as proprietary techniques,text-based techniques, database data-exchange, etc.

[0066] Exemplary Computer Server System

[0067] With reference to FIG. 12, a generally conventional computerserver 1200 is illustrated that is suitable for use in connection withpracticing the embodiments of the invention discussed herein. Forexample, computer server 1200 may be used for running web server 112,database server 114, integrated shipping server 115, payment server 116,and on-line software applications 130. Examples of computer servers thatmay be suitable for these purposes include stand-alone andenterprise-class servers operating UNIX-based and LINUX-based operatingsystems, as well as servers running the Windows NT or Windows 2000Server operating systems.

[0068] Computer server 1200 includes a chassis 1202 in which is mounteda motherboard 1204 populated with appropriate integrated circuits,including one or more processors 1206 and memory (e.g., DIMMs or SIMMs)1208, as is generally well known to those skill in the computer arts.The motherboard and various peripheral devices described below arepowered by a power supply (not shown). A monitor 1210 is included fordisplaying graphics and text generated by software programs and programmodules that are run by the computer server. A mouse 1212 (or otherpointing device) may be connected to a serial port (or to a bus port orUSB port) on the rear of chassis 1202, and signals from mouse 1212 areconveyed to the motherboard to control a cursor on the display and toselect text, menu options, and graphic components displayed on monitor1210 by software programs and modules executing on the computer, such asthe web pages illustrated herein. In addition, a keyboard 1214 iscoupled to the motherboard for user entry of text and commands thataffect the running of software programs executing on the computer.Computer server 1200 also includes a network interface card (NIC) 1216,or equivalent circuitry built into the motherboard to enable the serverto send and receive data via a network 1218.

[0069] File system storage corresponding may be implemented via aplurality of hard disks 1220 that are stored internally within chassis1202, and/or via a plurality of hard disks that are stored in anexternal disk array 1222 that may be accessed via a SCSI card 1224 orequivalent SCSI circuitry built into the motherboard. Optionally, diskarray 1222 may be accessed using a Fibre Channel link using anappropriate Fibre Channel interface card (not shown) or built-incircuitry.

[0070] Computer server 1200 generally may include a compact disk-readonly memory (CD-ROM) drive 1226 into which a CD-ROM disk may be insertedso that executable files and data on the disk can be read for transferinto memory 1208 and/or into storage on hard disk 1220. Similarly, afloppy drive 1228 may be provided for such purposes. Other mass memorystorage devices such as an optical recorded medium or DVD drive may alsobe included. The machine instructions comprising the software componentsthat cause processor(s) 1206 to implement the operations of the presentinvention that have been discussed above will typically be distributedon floppy disks 1230 or CD-ROMs 1232 (or other memory media) and storedin one or more hard disks 1220 until loaded into memory 1208 forexecution by processor(s) 1206. Optionally, the machine instructions maybe loaded via network 1218 as a carrier wave file.

[0071] Thus, embodiments of this invention may be used as or to supportsoftware components executed upon some form of processing core (such asthe CPU of a computer) or otherwise implemented or realized upon orwithin a machine-readable medium. A machine-readable medium includes anymechanism for storing or transmitting information in a form readable bya machine (e.g., a computer). For example, a machine-readable medium caninclude such as a read only memory (ROM); a random access memory (RAM);a magnetic disk storage media; an optical storage media; and a flashmemory device, etc. In addition, a machine-readable medium can includepropagated signals such as electrical, optical, acoustical or other formof propagated signals (e.g., carrier waves, infrared signals, digitalsignals, etc.).

[0072] The above description of illustrated embodiments of theinvention, including what is described in the Abstract, is not intendedto be exhaustive or to limit the invention to the precise formsdisclosed. While specific embodiments of, and examples for, theinvention are described herein for illustrative purposes, variousequivalent modifications are possible within the scope of the invention,as those skilled in the relevant art will recognize.

[0073] These modifications can be made to the invention in light of theabove detailed description. The terms used in the following claimsshould not be construed to limit the invention to the specificembodiments disclosed in the specification and the claims. Rather, thescope of the invention is to be determined entirely by the followingclaims, which are to be construed in accordance with establisheddoctrines of claim interpretation.

What is claimed is:
 1. A method comprising: enabling, via a third-partypayment service, a first party to arrange for shipment of a package to asecond party via a shipping vendor; and facilitating payment from thefirst party to the shipping vendor for the shipment via the third-partypayment service.
 2. The method of claim 1, wherein the arranging for theshipment of the package includes: providing a computer interface via thethird-party payment service to receive shipping information entered bythe first party; passing the shipping information entered by the firstparty via the computer interface to an on-line interface provided by theshipping vendor; receiving shipment data generated by the shippingvendor in response to the passing of the shipping information; andproviding the shipment data to the first party.
 3. The method of claim2, wherein data is passed between the third-party payment service andthe shipping vendor in the form of XML (extensible markup language)documents, and the on-line interface comprises an XML applicationprogram interface (API).
 4. The method of claim 1, wherein the firstparty is a seller and the second party is a buyer who pays for an itembought from the seller via the third-party payment service, the methodfurther comprising providing a computer interface containing informationpertaining to the payment via which an integrated shipping process thatfacilitates arrangement of shipment of the item is launchable.
 5. Themethod of claim 1, wherein the payment of the shipment is facilitatedby: providing the payment from the third-party service to the shippingvendor; and deducting a shipping cost of the shipment from a third-partypayment service account held by the first party.
 6. The method of claim5, wherein the payment from the third-party service to the shippingvendor is facilitated via a debit/credit card authorization/settlementnetwork.
 7. The method of claim 6, wherein the payment from thethird-party service to the shipping vendor employs a virtual debit card.8. The method of claim 1, further comprising providing a computerinterface via the third-party service that functions as a proxy toenable a user to obtain a shipping account with the shipping vendor. 9.The method of claim 1, further comprising providing data to a computeroperated by the first party to enable a shipping label to be rendered bythe computer and printed out on a printer.
 10. The method of claim 1,wherein an arrangement of the shipment and payment to the shippingvendor appears to the shipping vendor as if the first party is directlyaccessing on-line facilities hosted by the shipping vendor.
 11. Themethod of claim 1, further comprising enabling the first party to viewtracking information related to shipment of the package via thethird-party payment service.
 12. The method of claim 11, wherein thethird-party payment service enables the first party to view trackinginformation by: automatically navigating, via a proxy operation, to aweb site hosted by the shipping vendor and entering a tracking number;and directing a web server hosting the web site to send a trackingsummary page generated in response to entry of the tracking number to aclient computer operated by the first party.
 13. The method of claim 1,further comprising: tabulating shipment purchases for each user over apredetermined period; and preventing a user from arranging furthershipments if the tabulated purchases over the predetermined periodexceed a predetermined purchase limit.
 14. A system comprising: a webserver; and an integrated shipping server, linked in communication theweb server, the web server and integrated shipping server comprisingsoftware instructions that when executed enable a seller to arrange forshipment of a package to a buyer via a shipping vendor by performingoperations, including: generating and serving web pages via whichshipping information pertaining to the shipment may be automaticallyentered and/or manually entered by the seller; and interacting with anon-line interface hosted by the shipping vendor to arrange for shipmentof the package via the shipping vendor through use of the shippinginformation.
 15. The system of claim 14, wherein shipment of the packagerelates to a sale of an item to a buyer, and wherein execution of thesoftware instructions further performs the operations of: retrievingsales transaction information; extracting shipping information from thesales transaction information; and automatically entering shippinginformation into at least one web page.
 16. The system of claim 14,further comprising a payment server linked in communication with theintegrated shipping server and comprising further software instructionsthat when executed perform the operation of facilitating payment for theshipment from the seller to the shipping vendor.
 17. The system of claim16, wherein the system is configured to be operable by a third-partypayment service for which the seller has an account, and facilitatingpayment of the shipment comprises: providing payment from thethird-party service to the shipping vendor; and deducting a shippingcost of the shipment from the seller's third-party payment serviceaccount.
 18. The system of claim 17, wherein payment from thethird-party service to the shipping vendor is facilitated viainteraction between the payment server and a debit/credit cardauthorization/settlement network.
 19. The system of claim 18, whereinexecution of the software instructions further performs the operationsof: generating a virtual debit card; and employing the virtual debitcard to pay the shipping vendor.
 20. The system of claim 14, whereinexecution of the software instructions further perform the operation ofperforming a proxy operation to enable the seller to obtain a shippingaccount with the shipping vendor via interaction with web pages servedby the web server.
 21. The system of claim 14, wherein execution of thesoftware instructions further perform the operations of: storing atracking number corresponding to the shipment that is received from theshipping vendor; automatically navigating, via a proxy operation, to aweb site hosted by the shipping vendor and entering the tracking number;and directing a web server hosting the web site to send a trackingsummary page generated in response to entry of the tracking number to aclient computer operated by the seller.
 22. A system comprising: meansfor enabling a seller to arrange, via a third-party payment service,shipment by a shipping vendor of an item to a buyer; and means fortransferring payment for the shipment from the seller to the shippingvendor.
 23. The system of claim 22, further comprising means forenabling the seller to track a shipment via the third-party paymentservice.
 24. The system of claim 22, further comprising means forsetting up an account with the shipping vendor via a proxy operationprovided by the third-party payment service.